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Bernhard Meyer, Cloud Industry Solution Management “Industrial Machinery & Components”, SAP SE Regensdorf, 14. Juni 2016 Engineer-To-Order mit SAP heute und in Zukunft

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Bernhard Meyer, Cloud Industry Solution Management “Industrial Machinery & Components”, SAP SE

Regensdorf, 14. Juni 2016

Engineer-To-Order mit SAP heute und in Zukunft

© 2016 SAP SE or an SAP affiliate company. All rights reserved. 2Public

Disclaimer

The information in this presentation is confidential and proprietary to SAP and may not be disclosed without the permission of

SAP. Except for your obligation to protect confidential information, this presentation is not subject to your license agreement or

any other service or subscription agreement with SAP. SAP has no obligation to pursue any course of business outlined in this

presentation or any related document, or to develop or release any functionality mentioned therein.

This presentation, or any related document and SAP's strategy and possible future developments, products and or platforms

directions and functionality are all subject to change and may be changed by SAP at any time for any reason without notice.

The information in this presentation is not a commitment, promise or legal obligation to deliver any material, code or

functionality. This presentation is provided without a warranty of any kind, either express or implied, including but not limited to,

the implied warranties of merchantability, fitness for a particular purpose, or non-infringement. This presentation is for

informational purposes and may not be incorporated into a contract. SAP assumes no responsibility for errors or omissions in

this presentation, except if such damages were caused by SAP’s intentional or gross negligence.

All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially

from expectations. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only

as of their dates, and they should not be relied upon in making purchasing decisions.

© 2016 SAP SE or an SAP affiliate company. All rights reserved. 3Public© 2016 SAP SE or an SAP affiliate company. All rights reserved. 3Customer

Value Creation through Deep Process and Data Integration

R&D Sales ManufacturingAftermarket

ServiceSupply Chain

Digital Core

Value Creation

through:

Product

InnovationSmart

Products

Track &

Trace

Connected

Logistics

Performance based

Contracting (BRIM)

Configure,

Price, Quote Connected

Manufacturing

Energy

Management

Predictive

Quality

New Business Scenarios

Remote Service

Management

Predictive

Maintenance

Augmented

Reality Apps

Process

Innovation

Business

Model

Innovation

© 2016 SAP SE or an SAP affiliate company. All rights reserved. 4Public© 2016 SAP SE or an SAP affiliate company. All rights reserved. 4Customer

Digital Core

R&D Sales ManufacturingAftermarket

ServiceSupply Chain

Value Creation through Deep Process and Data Integration

R&D Sales ManufacturingAftermarket

ServiceSupply Chain

Digital Core

Value Creation

through:

Process

Innovation

Business

Model

Innovation

Product

InnovationSmart

Products

Track &

Trace

Connected

Logistics

Performance based

Contracting (BRIM)

Configure,

Price, Quote Connected

Manufacturing

Energy

Management

Predictive

Quality

New Business Scenarios

Remote Service

Management

Predictive

Maintenance

Augmented

Reality Apps

Horizontal Processes

Vert

ica

l

P

roces

ses

Vert

ica

l

P

roces

ses

Ve

rtic

al

Pro

ce

ss

es

Vert

ica

l

P

roces

ses

Vert

ica

l

P

roces

ses

© 2016 SAP SE or an SAP affiliate company. All rights reserved. 5Public 5© 2016 SAP SE. All rights reserved.

Requirements in a digitized world . . .

SOLUTION

COMPLEXITY

SOLUTION

INDIVIDUALIZATION

DIGITIZATION &

CONNECTEDNESS

PAY PER USE

BUSINESS MODELS

© 2016 SAP SE or an SAP affiliate company. All rights reserved. 6Public

How we at SAP define Engineer-To-OrderProcess View

Account Management Service & MaintenanceEngineer-To-Order &

Project Manufacturing

Selling Engineering

Manufacturing,

Procurement,

and Assembly

Delivery and

Transportation

Installation

and

Handover

Change Management

Monitoring

Collaborative Sourcing

Project Management

ETO

Value Chain

Supporting

Processes

End-to-End

View

© 2016 SAP SE or an SAP affiliate company. All rights reserved. 7Public

How we at SAP define Engineer-To-OrderWhere ETO complexity will be visible/created

Lengthy and intensity of the sales phase and

Scope of tender / specification

Number of direct involved LoB’s

Customer-, Contract- or Project specific

development/engineering effort

Real new development versus. development

enhancements

Project duration

Project structure size

Project structure complexity

(time, cost , logistics)

Number of changes

Number of different involved parties

Number and scope of involved

suppliers / supplier networks

Supplier type

(development versus

manufacturing)

© 2016 SAP SE or an SAP affiliate company. All rights reserved. 8Public

Purchase

requisition

Purchase

Order

Goods

Receive

Delivery from Project

Sophisticated IntegrationHow SAP integrates the financial and logistical view with the project management

SALES PROJECT SYSTEM

SHIPPING

PRODUCTION PLANNING

& PRODCUTION

PROCUREMENT

ENGINEERINGOngoing (Part, Assembly, …)

release (=growing xBoM)

reservation

MRP and Scheduling

Finite & infinite capacity scheduling

Alerting

Billing

WBS

Structure

Network /

Network Activities

...

Quote Customer order

...

Sales Order

Structure

Product

Structure

Change

Management

CAD /

eCAD

Document

Structure

PRODCUT DATA

MANAGEMENT

MATERIAL

MANAGEMENT

Master Data

ManagementPlant

Stock

Project

Stock

Planned

Order

Production

Order

FINANCIALS

AR / AP

Project Accounting

(Universal Journal)

© 2016 SAP SE or an SAP affiliate company. All rights reserved. 9Public

Level 1

Level 2

Level 3

Level 4

Maturity

Ad

de

d V

alu

e f

or

the

Co

mp

an

y

Actual Costs

Network and Activities

Material – Network Integration

Infinite Production Planning

How SAP Customer implement SAP Project SystemsMaturity Levels

Planning (Budget)

Finite Production Planning

SAP’s project system capabilities are a huge weapon in compare to other solutions, because

no one can do it out of the box.

© 2016 SAP SE or an SAP affiliate company. All rights reserved. 10Public

Sophisticated IntegrationSome selected SAP Solutions supporting the ETO scenario

SAP Product

Lifecycle Costing

SAP Product Lifecycle

Management

SAP Configure,

Price, Quote

SAP Engineering

Control Center

SAP Commercial Project

Management

Project

System

© 2016 SAP SE or an SAP affiliate company. All rights reserved. 11Public 11© 2016 SAP SE. All rights reserved.

Customers A major global player in the construction

and engineering markets operating in more than 120 countries. They moved away from managing CAD data in a PDM system and replaced that with SAP PLM. With the CAD integration, bills of materials is transferred automatically, reducing scope for error and saving time.

Mahle: Mahle Behr is a leading Tier 1

automotive supplier . They were challenged to ensure transparency and single source of truth in a globally distributed product development environment. With the ECTR capability they removed data duplication, fostered multi site collaboration in a Globally distributed product development environment and ensured Process support & Procedural controls for product development.

SAP Solution HighlightsCollaborative Design: SAP Engineering Control Center

Capabilities

SAP Engineering Control Center is a comprehensive solution with a engineer driven UI. A single platform to connect multi

cad systems , software and electrical design with on UI to SAP PLM. BOMs can be created easily, product related data can be managed in this single platform the typical engineer does

not have to use SAPs native UI.

Engineers single UI

Multi Cad connection to ERP

Central access point to all product data

Integration authoring platform

Interlink between Design and Production

Central platform systems engineering and

mechatronics

© 2016 SAP SE or an SAP affiliate company. All rights reserved. 12Public 12© 2016 SAP SE. All rights reserved.

CustomersHELLA, a leading tier 1 auto supplier, has standardized key design processes across functions and locations and has brought new depth to collaboration among geographically distant development groups leveraging SAP PLM. It has enhanced communication by making visual renderings accessible across departments and helping product teams create, track, synchronize, and exchange product detail.

Heli is the leading specialized industrial vehicles & forklift manufacturer in China with products sold in more than 150 countries .It has extensively deployed SAP PLM capabilities like Product structures, SAP 3D visual enterprise Viewer, Generator and visual planner to support handover to manufacturing needs

SAP Solution HighlightsEnterprise Product Engineering

Capabilities

SAP Enterprise Product Engineering contains the key capabilities that fosters extended design collaboration through out the enterprise. It enables the critical BOM

handover process incl the capability to visually allocate the engineering BOMs to production routings. It leverages the

engineering designs to further create the downstream technical communications incl visual work instructions.

Engineering Change management

Document management & Access control

Product structure management with variants

Handover to manufacturing process

Context sensitive analytics with real time product data

Visual work instructions, Technical publishing

© 2016 SAP SE or an SAP affiliate company. All rights reserved. 13Public 13© 2016 SAP SE. All rights reserved.

SAP Solution Highlights Product Lifecycle Costing – design for profitability

30+ customers from Automotive, Industrial Machinery, High Tech and Consumer Products industries are co-innovating with SAP to drive innovation (Customer Engagement Initiative )

• International Automotive Suppliers

• Global Machinery Industry Players

• Midsized tier one suppliers

• High Tech global players

Capabilities

SAP Product Lifecycle Costing is a solution to calculate costs and other dimensions for new products or quotations in an early stage of

the product lifecycle, to quickly identify cost drivers along the lifecycle

CustomersHANA Calculation Engine

ERP Integration to price and materials

Simulation What if Analysis

Profitability Simulation Target Costing

UI, flexible Structure Creation

Lifecycle Costing

© 2016 SAP SE or an SAP affiliate company. All rights reserved. 14Public 14© 2016 SAP SE. All rights reserved.

SAP Solution Highlights Configure, Price, Quote – Expose the product configuration to your customers

50+ customers from the Discrete Industry have SAP CPQ actively in their system landscape.

EMC Complex product bundling – Hardware + Services Time-to-Quote is a key market differentiator

Lexmark Time to quote for complex bundles of hardware, software

and services as a key differentiator Increase profitability by becoming a solution provider with

pay-per-user invoicing

Measurement & Controls Manufacturer Simplified processes, built on standard, integrated

technology, to empower sales, channel and customers Channel partners and customers can easily specify, quote

and order configurable products

See SAP education and customer testimonial videosSAP CPQ (Configure, Price Quote) Configuration screen

Capabilities Customers

Product and Solution configuration,guided selling

Modular user experience, easy-to-use, easy-to-adapt

Integration to hybrisB2B Commerce and

ERP order mgmt

Integration to CRM and Cloud for

Customer/Mobile*)

CPQ solution for sales, customers, and channel

partners

*) future capability

© 2016 SAP SE or an SAP affiliate company. All rights reserved. 15Public

SAP S/4HANA Suite Introducing the next generation core and lines of business solutions for the digital economy

SAP S/4HANA

MARKETING

SAP S/4HANA

HUMAN RESOURCESSAP S/4HANA

MANUFACTURINGSAP S/4HANA

SUPPLY CHAIN

SAP S/4HANA

SALES

SAP S/4HANA

FINANCE

SAP S/4HANA

SERVICE

SAP S/4HANA

SOURCING &

PROCUREMENT

SAP S/4HANA

ASSET

MANAGEMENT

SAP S/4HANA

RESEARCH &

DEVELOPMENT

The D

igita

l Core

The D

igital C

ore

Enterprise Management

© 2016 SAP SE or an SAP affiliate company. All rights reserved. 16Public

SAP S/4HANA Research & Development: Solution Strategy

Enterprise Management

PRODUCTS

SUITE

PRODUCTS

SUITE

Enterprise Management

CURRENT FUTURE

• Cloud for Product Stewardship

• Product data mgmt. for Bills of Material and

Routings

• Variant Configuration

• Project Management & accounting

• Document Management

• Product data mgmt. for Bills of Material and

Routings

• Variant Configuration

• Project Management & accounting

• Document Management

• Design and BoM Engineering *)

• Portfolio and Project Management *)

• Commercial Project Management

• Embedded Software *)

• Requirements Management *)

• Product Safety

• Product & REACH Compliance

• Product Lifecycle Costing

• Innovation Management

• Engineering Collaboration / Product Network *)

• Collaborative Project Execution / Cloud PPM *)

• Enterprise Project Connection *)

• Engineering Control Center

• Cloud for Product Stewardship

*) Working Title

SAP and Partner Solutions that

are deployed alongside S/4

HANA, with standard

integrations. These include on-

premise and cloud solutions.

Separately priced S4 branded

components optimized for

HANA that will be deliverable

embedded within the S4

landscape (Some of these

products may also be available

outside of S4)

Simplified processes built

natively on HANA with

streamlined data structures

and enhanced user experience,

delivered as part of S4 user-

based license

• Product Safety

• Product & REACH Compliance

• Product Lifecycle Costing

• Innovation Management

This presentation and SAP’s strategy and possible future developments are subject to change and may be changed by SAP at any time for any reason without notice. This document is

provided without a warranty of any kind, either express or implied, including but not limited to, the implied warranties of merchantability, fitness for a particular purpose, or non-infringement

© 2016 SAP SE or an SAP affiliate company. All rights reserved. 17Public© 2016 SAP SE or an SAP affiliate company. All rights reserved. 17Customer

1. ETO scenario in combination with project

management for complex solutions is

increasing

2. Seamless out-of-the-box integration for

horizontal processes is key to create real

value for a scalable horizontal/vertical

integration (digitalization)

3. SAP has the most comprehensive portfolio

and is ongoing heavily investing

Remember the key . . .

Thank youBernhard Meyer

Solution Manager, Industrial Machinery & Components

[email protected]